SAUDI ARABIA

2016

COUNTRY NOTE BOOK BY: MUHAMMAD ADNANREG : 13-NTU-5004

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NATIONAL TEXTILE UNIVERSTY FAISALABAD PAKISTAN

ContentsCulture analysis:.............................................................................................................................6

Introduction...............................................................................................................................6

Brief discussion of the country’s relevant history..........................................................................6

Geographical setting......................................................................................................................6

Location..................................................................................................................................... 6

Climate.......................................................................................................................................6

Topography................................................................................................................................7

Social institutions...........................................................................................................................8

Family............................................................................................................................................ 8

The nuclear family.....................................................................................................................8

The extended family..................................................................................................................8

Education.......................................................................................................................................9

1. The role of education in society..........................................................................................9

Primary education (quality, levels of development, etc.)..........................................................9

Secondary education (quality, levels of development, etc.)....................................................10

Higher education (quality, levels of development, etc.)..........................................................10

2. Literacy rates.................................................................................................................... 10

C. Political system........................................................................................................................10

Executive Branch:.................................................................................................................... 10

Legislative Branch:...................................................................................................................11

3. Political parties..................................................................................................................11

4. Stability of government....................................................................................................11

4. Special taxes............................................................................................................................ 12

5. Role of local government.....................................................................................................12

Legal system................................................................................................................................ 12

1. Organization of the judiciary system....................................................................................12

Sharia courts............................................................................................................................13

Non-Sharia tribunal..................................................................................................................13

Code, common, socialist, or Islamic-law country.........................................................................13

Participation in patents, trademarks, and other conventions.....................................................13

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Applications for a protection document must be filed at the Directorate in the Arabic language, and must include:...................................................................15

Copyright..............................................................................................................................16

E. Social organizations................................................................................................................. 17

1. Group behavior.................................................................................................................17

2. Social classes.....................................................................................................................18

F. Business customs and practices...........................................................................................18

V. Religion and aesthetics........................................................................................................20

Religion and other belief systems................................................................................................20

Relationship with the people...................................................................................................20

Which religions are prominent?..............................................................................................21

5. Membership of each religion............................................................................................21

B. Aesthetics................................................................................................................................ 21

1. Visual arts (fi ne arts, plastics, graphics, public art, colors, etc.)..........................................21

2. Music................................................................................................................................ 21

Folklore and relevant symbols.................................................................................................22

VI. Living conditions.................................................................................................................22

A. Diet and nutrition....................................................................................................................22

1. Meat and vegetable consumption rates..............................................................................22

3. Typical meals.....................................................................................................................22

4. Malnutrition rates.............................................................................................................23

Housing........................................................................................................................................23

2. Do most people own or rent?..............................................................................................23

Clothing........................................................................................................................................23

1. National dress...................................................................................................................23

2. Types of clothing worn at work.........................................................................................24

D. Recreation, sports, and other leisure activities.......................................................................24

1. Types available and in demand............................................................................................24

E. Social security.......................................................................................................................... 26

F. Healthcare................................................................................................................................26

Language......................................................................................................................................26

A. Offi cial language(s)...........................................................................................................26

B. Dialects................................................................................................................................ 26

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VIII. Executive summary...............................................................................................................26

ECONOMIC ANALYSIS.................................................................................................................. 27

Introduction.............................................................................................................................27

II. Population................................................................................................................................27

Total.........................................................................................................................................27

Growth rates............................................................................................................................27

Number of live births...............................................................................................................27

3 Birthrates.............................................................................................................................. 27

Distribution of population........................................................................................................... 27

1. Age....................................................................................................................................27

2. Sex.....................................................................................................................................27

3. Geographic areas..............................................................................................................28

4. Migration rates and patterns............................................................................................28

5. Ethnic groups....................................................................................................................... 28

Economic statistics and activity...................................................................................................28

Gross national product (GNP or GDP)..........................................................................................28

1.Total......................................................................................................................................28

2. Rate of growth GDP.............................................................................................................28

B. Personal income per capita.................................................................................................28

Average Annual income per capita..............................................................................................28

Distribution of wealth..................................................................................................................28

E. Minerals and resources............................................................................................................28

Surface transportation.................................................................................................................29

G. Communication systems.........................................................................................................30

H. Working conditions................................................................................................................. 30

Working Hours & Overtime...........................................................................................31

I. Principal industries...............................................................................................................31

J. Foreign investment...................................................................................................................32

International trade statistics........................................................................................................32

Balance-of-payments situation....................................................................................................33

Exchange rates.............................................................................................................................33

Trade restrictions.........................................................................................................................33

• Counterfeiting.......................................................................................................................36

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• Arab League Boycott............................................................................................................. 36

Labor force...................................................................................................................................36

Inflation rates.............................................................................................................................. 37

Developments in science and technology....................................................................................37

V. Channels of distribution.......................................................................................................... 37

Retailers...................................................................................................................................37

Wholesale middlemen.............................................................................................................39

VI. Media......................................................................................................................................39

MARKET AUDIT AND COMPETITIVE MARKET ANALYSIS..............................................................40

THE PRODUCT..........................................................................................................................40

RELATIVE ADVANTAGE.............................................................................................................40

COMPATIBILITY........................................................................................................................40

COMPLEXITY............................................................................................................................ 40

TRIALABILITY AND OBSERVABILITY..........................................................................................40

MAJOR ISSUES......................................................................................................................... 40

THE MARKET................................................................................................................................41

GEOGRAPHICAL REGION..............................................................................................................41

FORMS OF TRANSPORTATION AND COMMUNICATION AVAILABLE IN KSA................................41

CONSUMER BUYING HABITS........................................................................................................41

PRODUCT-USE PATTERNS............................................................................................................41

PRODUCT FEATURE PREFERENCES...............................................................................................41

DISTRIBUTION OF THE PRODUCT.................................................................................................41

TYPICAL RETAIL OUTLETS.............................................................................................................42

ADVERTISING AND PROMOTION.................................................................................................42

SALES PROMOTION......................................................................................................................42

PRICING STRATEGY...................................................................................................................... 42

CUSTOMARY MARKUPS...............................................................................................................42

TYPES OF DISCOUNTS AVAILABLE................................................................................................42

OUR COMPETITOR ----Bata shoes................................................................................................43

COMPETITOR'S PROMOTION AND ADVERTISING METHODS AND THEIR DISTRIBUTION CHANNELS....................................................................................................................................43

OUR MARKET SIZE........................................................................................................................43

GOVERNMENT PARTICIPATION AND AGENCIES THAT CAN HELP US...........................................43

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REGULATIONS..............................................................................................................................44

Premilery markete plan...............................................................................................................44

OBJECTIVE................................................................................................................................44

TARGET MARKET......................................................................................................................44

MARKET PENETRATION............................................................................................................44

PROMOTION MIX.........................................................................................................................44

ADVERTISING........................................................................................................................... 44

MEDIA MIX...............................................................................................................................44

MESSAGE................................................................................................................................. 45

COSTS OF MEDIA EXPENSES.....................................................................................................45

SALES PROMOTIONS................................................................................................................45

DISTRIBUTION..............................................................................................................................45

PORT SELECTION......................................................................................................................45

MODE SELECTION.................................................................................................................... 45

PACKING.................................................................................................................................. 45

DOCUMENTATION REQUIRED..................................................................................................... 45

CHANNELS OF DISTRIBUTION - RETAILERS...................................................................................46

PRICE DETERMINATION...............................................................................................................46

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Culture analysis: Introduction

Servis Shoes is a global footwear manufacturer and retailer with its acting head office in Gulberg, Lahore, Pakistan.[1]The brand is working under the Servis Industries Limited (SIL). It was established in January 1928 in Gulberg which was later shifted to Gujrat. Servis has seven brands which are Calza, Cheetah, Don Carlos, Liza, Skooz, Soul and Toz .Service comoany export shoes to The Kingdom Of Saudi Arabia .

Brief discussion of the country’s relevant historySaudi Arabia, officially known as the Kingdom of Saudi Arabia, is the largest Arab state in Western Asia by land area, constituting the bulk of the Arabian Peninsula, and the second-largest in the Arab world (after Algeria). It is bordered by Jordanand Iraq on the north and northeast, Kuwait, Qatar, Bahrain and the United Arab Emirates on the east, Oman on the southeast, and Yemen on the south. The Red Sea lies to its west, and the Persian Gulf lies to the east. Saudi Arabia has an area of approximately 2,250,000 km2(870,000 sq mi), and it has an estimated population of 27 million, of which 9 million are registered foreign expatriates and an estimated 2 million are illegal immigrants. Saudi nationals comprise an estimated 16 million people. The Kingdom of Saudi Arabia was founded by Abdul-Aziz bin Saud (known for most of his career as Ibn Saud) in 1932, although the conquests which eventually led to the creation of the Kingdom began in 1902 when he captured Riyadh, the ancestral home of his family, the House of Saud, referred to in Arabic as Al Saud. The Saudi Arabian government, which has been an absolute monarchy since its inception, refers to its system of government as being Islamic, though this is contested by many due to its strong basis in Wahhabism and Salafism, which are minority schools of thought in Islam. The kingdom is sometimes called "The Land of the Two Holy Mosques" in reference to Al-Masjid al-Haram (in Mecca), and Al-Masjid al-Nabawi (in Medina), the two holiest places in Islam.Saudi Arabia has the world's second largest oil reserves which are concentrated largely in the Eastern Province and oil accounts for more than 95% of exports and 70% of government revenue. This facilitates the creation of a welfare state although the share of the non-oil economy is growing recently. It has also the world's sixth largest natural gas reserves

Geographical settingLocation

Middle East, bordering the Persian Gulf and the Red Sea, north of Yemen

ClimateThe months January, February, March, November and December have nice weather with a good average temperature. Hot season / summer is in April, May, June, July, August, September and October. Most rainfall (rainy season) is seen in October. Riyadh has dry periods in January, February, March, May, June, July, August and September. On average, the warmest month is

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August. On average, the coolest month is January. October is the wettest month. This month should be avoided if you don't like to much rain. June is the driest month.

TopographyOn the peninsula, the eastern line of the Great Rift fault is visible in the steep and, in places, high escarpment that parallels the Red Seabetween the Gulf of Aqaba and the Gulf of Aden. The eastern slope of this escarpment is relatively gentle, dropping to the exposed shield of the ancient landmass that existed before the faulting occurred. A second lower escarpment, the Jabal Tuwayq, runs north to south through the area of Riyadh.

In the south, a coastal plain, the Tihamah, rises gradually from the sea to the mountains. Hejaz extends southward to the borders of mountainous Yemen. The central plateau, Najd, extends east to the Jabal Tuwayq and slightly beyond. A long, narrow strip of desert known as Ad Dahna separates Najd from eastern Arabia, which slopes eastward to the sandy coast along the Persian Gulf. North of Najd a larger desert, An Nafud, isolates the heart of the peninsula from the steppes of northern Arabia. South of Najd lies one of the largest sand deserts in the world, the Rub al Khali.

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Social institutionsThe Social Institutions and Gender Index (SIGI) measures gender-based discrimination in social norms, practices and laws across 160 countries. The SIGI comprises country profiles, a classification of countries and a database; it serves as a research, policy and advocacy tool for the development community and policy makers.

The SIGI covers five dimensions of discriminatory social institutions, spanning major socio-economic areas that affect women’s lives: discriminatory family code, restricted physical integrity, son bias, restricted resources and assets, and restricted civil liberties. The SIGI’s variables quantify discriminatory social institutions such as unequal inheritance rights, early marriage, violence against women, and unequal land and property rights.

In the Social Institutions and Gender Index 2014 Edition , Saudi Arabia was not classified in the SIGI due to lack of full dataset. It has lower discrimination in restricted access to resources and assets and higher discrimination in restricted civil liberties. Read the full country profile and access the data here

FamilyThe nuclear familyWith the passage of time, the ratio of nuclear families in Middle East is increased .Economic revolution, technology and globalization of world tends people to the individualism .Everyone wants freedom for doing something and enjoy the life Therefore nuclear families system increased in Saudi Arabia and UAE. The extended family

Despite the furious pace of change and modernization that has occurred in Saudi Arabia over the last half century, the traditional extended family – parents, siblings, aunts and uncles, cousins and grand and great grandparents still form the basic unit of the society. Within the extended family, traditional respect for age, gender roles of men outside the home as providers and women in the dominant role inside the home are changing but still intact. The influence of the extended family thus carries over into social life, business and politics. Socially, the Saudis still tend to socialize, marry, and conduct business together.

A major reason for the resilience of the traditional extended family structure is the extraordinary strength of traditional Islamic social, economic and political values. Although behavioral patterns have changed with mind-numbing speed, these basic values are deeply held and are not likely to change rapidly over time.

3. Dynamics of the family

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4. Female/male roles (changing or static?)Women are taught to participate in roles that affect life inside the household such as managing the house, taking care of the children, and some decisions regarding the children’s upbringing. They are not restricted to these roles, as is demonstrated by the increasing number of successful business women. In Saudi Arabia, “the role of women [is] basic to maintaining the structure of the family and therefore of society” (Country Studies). This is due in large part to the fact that women are controlled more by men, keeping their chastity, and therefore their family honor, in check, which, in turn, makes the family’s bonds and society stronger.

Women are taught to participate in roles that affect life inside the household such as managing the house, taking care of the children, and some decisions regarding the children’s upbringing. They are not restricted to these roles, as is demonstrated by the increasing number of successful business women. In Saudi Arabia, “the role of women [is] basic to maintaining the structure of the family and therefore of society” (Country Studies). This is due in large part to the fact that women are controlled more by men, keeping their chastity, and therefore their family honor, in check, which, in turn, makes the family’s bonds and society stronger..

Education1. The role of education in society

Education is free at all levels. The school system is composed of elementary, intermediate, and secondary schools. A large part of the curriculum at all levels is devoted to Islam, and, at the secondary level, students are able to follow either a religious or a technical track. The rate of literacy is 90.4% among males and is about 81.3% among females.[5] Classes are segregated by sex. Higher education has expanded rapidly, with large numbers of Universities and colleges being founded particularly since 2000. Institutions of higher education include the country's first university, King Saud University founded in 1957, the Islamic University at Medina founded in 1961, and the King Abdulaziz University in Jeddah founded in 1967. Other colleges and universities emphasize curricula in sciences and technology, military studies, religion, and medicine. Institutes devoted to Islamic studies, in particular, abound. Women typically receive college instruction in segregated institutions

Primary education (quality, levels of development, etc.)Primary education in Saudi Arabia lasts six years, and children at the age of 6 enter the first grade of primary education. All national primary schools are day schools and are not co-educational. In order to move on to intermediate education, children must pass the examination at the end of Grade 6 of primary school and obtain the Elementary Education Certificate.[6]

According to government data, 2,442,482 students (1,255,117 male and 1,187,365 female) are in primary education in 2007 and the number of teachers totals 217,555 (107,227 male and 110,328 female) in 2007.[9] According to UNESCO, the gross enrollment ratio for boys is 99.9 percent, gross enrollment ratio for girls is 96.3 percent, and the total gross enrollment ratio is 98.1 percent in 200

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Secondary education (quality, levels of development, etc.)Intermediate education in Saudi Arabia lasts three years.[6] According to government data, 1,144,548 students (609,300 male and 535,248 female) are in intermediate education in 2007 and the number of teachers totals 108,065 (54,034 male and 54,031 female) in 2007.[9] According to gross enrollment the total rate is 95.9 percent in 2007. [6]

Secondary education in Saudi Arabia lasts three years and this is the final stage of general education. After the intermediate education, students have the opportunity for both general and specialized secondary education. Technical secondary institute which provide technical and vocational education and training programs lasts three years in the fields of industry, commerce and agriculture

Higher education (quality, levels of development, etc.)Higher education is available in the Kingdom of Saudi Arabia through universities, women’s colleges, teacher-training colleges, and an institute of public administration. The results of the General Secondary Education Certificate Examination determine admission into such institutions. Universities provide two types of education. The first type is a traditional Islamic education, which concentrates on Islamic law, Quranic studies, Arabic language, and social sciences. The other type reflects more of the Western approach to education, with many more diverse fields of study. Additionally, there have been recent increases in opportunities for Saudi Arabian students to study abroad

2. Literacy ratesDefinition: Youth literacy rate is the percentage of people ages 15-24 who can both read and write with understanding a short simple statement about their everyday life. total population: 94.7% ,male: 97% and female: 91.1% (2015 est.)

C. Political system1. Political structure

The modern Kingdom of Saudi Arabia, which was founded in 1932 by Abdulaziz bin Abd al-Rahman Al Saud (Ibn Saud), is a monarchy. Saudi Arabia is a hereditary monarchy. Ibn Saud's son, King Abdullah bin Abdulaziz Al Saud has been the ruler since 2005, though he had been regent from 1996, due to the illness of his brother King Fahad. The King's heir apparent (as of June 2012) is Crown Prince Salman bin Abdulaziz al-Saud, who also holds the title of Deputy Prime Minister, and who is a half-brother of the King. The document known as the Basic Law of Governance, which articulates the government's rights and responsibilities, was established by royal decree in 1992.

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Executive Branch:

The King is also the prime minister, chief of state, the head of government, and commander in chief of the military of Saudi Arabia. The monarchy is hereditary, so there are no elections for the role. The King's Cabinet, or Council of Ministers, is appointed by the King every four years, and includes many family members. There are 22 government ministries that are part of the Cabinet. In February 2009, King Abdullah appointed Norah Al-Fayez to be the first female cabinet-level official, a deputy minister for women's education. She had formerly had worked as an official in the Saudi Institute for Public Administration.

Legislative Branch:

This is made up of a Consultative Council (also known as Majlis as-Shura or Shura Council) advises the King on issues that are important to Saudi Arabia. The Consultative Council currently consists of 150 members appointed by the King for a four-year renewable term. Based on their experience, members are assigned to committees. There are 12 committees that deal with human rights, education, culture, information, health and social affairs, services and public utilities, foreign affairs, security, administration, Islamic affairs, economy and industry, and finance. In October 2003, the Council announced its intent to start elections for half of the members of the local and provincial assemblies (there are 13 provinces, each with a governor and deputy and its own council made up of at least 10 citizens), and one-third of the members of the Consultative Council incrementally over a period of four to five years. No elections have yet been announced. In September 2011, King Abdullah announced that women would have the right to be appointed to the Consultative Council. And, in January 2013, the King appointed 30 women to serve four-year terms on the Council, following passing of a law stating that women should constitute at least 20% of the Council's membership.

3. Political partiesThere are no politicale parties, but oil companies and religious leaders are the politicle pressure groups

4. Stability of governmentSaudi Arabia remains stable despite the turmoil caused by the Arab Spring, but it faces at least five long-term challenges that even the world’s top oil exporter can’t solve with money alone

The five steps are :

Restive Shiite Minority Uncertainty Over Royal Succession

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Resistance to Reform Youth Unemployment Heavy Dependence on Oil

4. Special taxes5. Role of local government

There are three levels of local government in the Kingdom of Saudi Arabia: the city council, the municipal council and the municipality. The city council is the highest level of local government. The municipal councils began in 2005 and is the second level of local government. The municipality is the third level of local government. There are 178 municipalities across the kingdom. The first began in Jeddah during the Othmanic period. Each municipality is run by its city's mayor. As a collective the kingdom's municipalities make up the Ministry of Municipality and Rural Affairs (MoMRA)

Legal systemThe legal system of Saudi Arabia is based on Sharia, Islamic law derived from the Qu'ran and the Sunnah (the traditions) of theIslamic prophet Muhammad. The sources of Sharia also include Islamic scholarly consensus developed after Muhammad's death. Its interpretation by judges in Saudi Arabia is influenced by the medieval (Islamic Golden Age) texts of the literalist Hanbali school ofIslamic jurisprudence. Uniquely in the Muslim world, Sharia has been adopted by Saudi Arabia in an uncodified form. This, and the lack of judicial precedent, has resulted in considerable uncertainty in the scope and content of the country's laws. The government therefore announced its intention to codify Sharia in 2010, but this is yet to be implemented. Sharia has also been supplemented byregulations issued by royal decree covering modern issues such as intellectual property and corporate law. Nevertheless, Sharia remains the primary source of law, especially in areas such as criminal, family, commercial and contract law, and the Qu'ran and the Sunnah are declared to be the country's constitution. In the areas of land and energy law the extensive proprietorial rights of the Saudi state (in effect, the Saudi royal family) constitute a significant feature.

The current Saudi court system was created by King Abdul Aziz, who founded the Kingdom of Saudi Arabia in 1932, and was introduced to the country in stages between 1927 and 1960. It comprises general and summary Sharia courts, with some administrative tribunals to deal with disputes on specific modern regulations. Trials in Saudi Arabia are bench trials. Courts in Saudi Arabia observe few formalities and the country's first criminal procedure code, issued in 2001, has been largely ignored. King Abdullah, in 2007, introduced a number of significant judicial reforms, although they are yet to be fully implemented

1. Organization of the judiciary systemThe judiciary of Saudi Arabia is a branch of the government of Saudi Arabia that interprets and applies the laws of Saudi Arabia. The legal system is based on the Islamic

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code of Sharia, with its judges and lawyers forming part of the country's religious leadership or ulama. There are also non-Sharia government tribunals which handle disputes relating to specific royal decrees. Final appeal from both Sharia courts and government tribunals is to the King of Saudi Arabia and all courts and tribunals follow Sharia rules of evidence and procedure

Sharia courtsThe Sharia courts have general jurisdiction over most civil and criminal cases. At present, there are two types of courts of first instance: general courts and summary courts dealing with lesser cases. Cases are adjudicated by single judges, except criminal cases if the potential sentence is death, amputation or stoning when there is a panel of three judges. There are also two courts for the Shia minority in the Eastern Province dealing with family and religious matters. Appellate courts sit in Mecca and Riyadh and review decisions for compliance with Sharia.

Non-Sharia tribunalThere are also non-Sharia courts covering specialized areas of law, including the Board of Grievances,[6]:23 the Specialized Criminal Court, created in 2008,[7] and the Supreme Court.[8]

[9] The Board of Grievances was originally created to deal with complaints against the government, but also gained jurisdiction over commercial and some criminal cases, such as bribery and forgery, and acts as a court of appeal for a number of non-Sharia government tribunals.[4]:161 These administrative tribunals, referred to as "committees", deal with specific issues regulated by royal decrees, such as labor and commercial law.[4]:146

Code, common, socialist, or Islamic-law countrySaudi Arabia Islamic (sharia) legal system with some elements of Egyptian, French, and customary law; note – several secular codes have been introduced; commercial disputes handled by special committees

Participation in patents, trademarks, and other conventions

Saudi Arabia has ratified the Berne Convention for the Protection of Literary and Artistic Works of 1886, revised in Paris on 24th July 1971 and the Paris Convention for the Protection of Industrial Property of 1883, both with effect from 11th March 2004. Three government authorities have authority to protect and enforce intellectual property rights: the Ministry of Commerce and Industry for trademarks, the Ministry of Culture and Information for copyright, and King Abdulaziz City for Science and Technology for patents.

Trademarks: 

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Trademarks are governed by the Trademarks Regulation, Royal Decree No. M/21 of 28th Jumada Awal 1423 Hejra corresponding to 8th August 2002 Gregorian, and its Implementing Rules of the same year. Applications for registration must be made to the Trademarks Office of the Ministry of Commerce and Industry which applies the ‘Nice Classification’ in accordance with the Agreement Concerning the International Classification of Goods and Services for the Purposes of the Registration of Marks of 1957. 

Applications must contain the following particulars:01. A copy of the trademark required to be registered.02. Name, title, address, nationality and trade name of the applicant (if any). If the applicant is a juristic person, the name, address of the head office and nationality must be stated.03. Where the application is submitted by an attorney, his name, title and address must be stated.04. Description of the trademark required to be registered.05. The products or services in respect of which the trademark is required to be registered, and the classification thereof.06. Signature of the applicant or the attorney thereof.07. Ten representations of the trademark identical to the trademark sample shown in the application for registration.08. A copy of the power of attorney together with the original for verifying purposes must be attached where the application was submitted by an attorney of the person concerned.09. Evidence of payment of application fees as stipulated in the Trademarks Regulation.

It is not permitted to register in Saudi Arabia, by other than its rightful owner, a trademark that is similar to an internationally known mark. Registration of a trademark allows holders protection for ten years from the date of application, renewable for similar periods. Any renewal must be specifically applied for before the end of the last year of expiry of the registration, and the procedure for renewal is the same as the one for the initial registration of the trademark. Service marks are included in the definition of trademarks. A trademark is deemed owned by the person who effects the registration. Once the registration is effected in the trademarks register, the party who has registered the trademark shall be considered the owner thereof to the exclusion of others.

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A trademark can be licensed, pledged or transferred by the rightful owner. The trademark may be deleted or cancelled if it is not used for five consecutive years. Penalties for infringement of a valid trademark include imprisonment for a period of not more than one year and a fine of not less than SR50,000 and not more than SR1,000,000. Any civil or criminal disputes arising from the infringement are settled by the Board of Grievances.

Patents:There are at present two overlapping patents systems in Saudi Arabia. The GCC Patents of Inventions Regulation of 2001, which is an amendment of an earlier statute of 1992, was approved in Saudi Arabia by Royal Decree No. M/28 of 2001. This permits the registration of patents with effect throughout the GCC countries. The GCC Patent Office is based in Riyadh.

Under Saudi Arabian law, patents are governed by the Layout Designs of Integrated Circuits, Plant Varieties, and Industrial Models Regulation, Royal Decree No. M/27 of 20th Jumada Awal 1425 Hejra corresponding to 17th July 2005 Gregorian, which gives effect to the Paris Convention for the Protection of Industrial Property under Saudi Arabian domestic law.

A protection document is granted by the General Directorate of Patents at King Abdulaziz City for Science and Technology, which gives full protection within the Kingdom to an invention, a layout design of an integrated circuit, a plant variety, or an industrial design. The protection document grants the owner the right to commercially exploit the subject matter of protection.

Applications for a protection document must be filed at the Directorate in the Arabic language, and must include:01. Names and addresses of the applicant(s) and inventor(s);02. Name and address of the local agent and the authorization, if the applicant resides outside the Kingdom;03. A brief title of the subject matter of the application, an original copy and certified copies of the complete specification and certified copies of other relevant details

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thereof like examination and research reports;04. Priority and disclosure information including previous filings; and05. Evidence of payment of the filing fee at a designated bank, stipulated by the Directorate.The protection document is the personal right of the owner and he may transfer or assign it or grant a contractual licence to others to commercially exploit the subject matter of protection. Protection is granted to the owner for a duration of 20 years for an invention, 10 years for an industrial design and a layout design of an integrated circuit, and 20 to 25 years for a new plant variety. The above periods are renewable, for an annual fee.

CopyrightThe Copyright Regulation, Royal Decree No. M/41 of 2nd Rajab 1424 Hejra corresponding to 30th August 2003 Gregorian and its Implementing Rules, Resolution of the Minister of Commerce and Industry No. M/W/1788/1 of 10th Rabi Thani 1425 Hejra corresponding to 30th May 2004 Gregorian, define copyright protection to include architectural designs, speeches, theatrical, musical, photographic and cinematographic works, as well as works for radio and television, maps, video tapes and computer software. Copyright protection is not subject to any registration or renewal. The Regulation gives the author financial and moral rights, to print or publish the work, to make amendments or to delete his work, to withdraw it from circulation, and to assign it as he wishes.

In general the duration of protection afforded to different types of Copyright works is as follows:01. The period of protection of copyright for the author of a work shall be for the duration of his life and for a period of fifty years following his death.02. The period of protection for works where the author is a corporate entity, or if the author’s name is unknown, shall be fifty years from the date of the first publication of the work.03. The protection period for sound works, audio-visual works, films, collective works and computer programs is fifty years from the date of the first show or publication of the work, regardless of republication.04. The protection period for applied art (handcrafted or manufactured) and photographs shall be twenty-five years from the date of publication.05. The protection period for broadcasting organizations shall be twenty years from the

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date of the first transmission of program or broadcast materials.

A special Copyright Violations Committee under the authority of the Ministry of Culture and Information presides over copyright infringement issues and it has broad powers to punish the infringer of a valid copyright including a fine of up to SR250,000 in the case of first time offenders, and this can be raised to SR500,000 if there is repeated infringement. The Committee may issue injunctions in certain cases and also order imprisonment of an offender. Any decision of the Violations Committee can be appealed by filing a claim with the Board of Grievances

E. Social organizationsAl-Nahda is a charitable women's society dedicated to empowering women socially and economically through the execution of numerous projects and programs. Our origins were built on volunteer efforts spent on general social service but with time we developed into a charitable institution committed to women's social and cultural development in accordance with Islamic law and guided by the goal of sustainable development. The Society was founded in Riyadh in 1962 under the patronage of the late Queen Effat Al-Thunayan, the wife of H.M. the late King Faisal Al-Saud. It was spearheaded by a group of pioneering women including H.R.H. Princess Sarah Al-Faisal Al-Saud H.R.H. Princess Lateefah Al-Faisal Al-Saud, the late Mrs. Samira Khashoggi and the late Mrs. MuzaffarAdham. Since our foundation we have implemented a myriad of development projects in line with Saudi Arabia's development plans. Some of these projects were in the fields of social welfare, family health, special needs, early childhood and cultural artifact preservation. Among our strongest projects in which we continue to contribute are in the fields of human capital development and the promotion of female employment. With the benefit of experience gained from almost fifty years in the field of social service, we have set our strategic focus on the quality, efficiency and relevance of our projects that are based on actual studied needs in order to achieve our goal of sustainable female development.

Our Vision:

For women to be active partners in the development of Saudi Arabian society.

Our Mission:

We are a non-profit organization that aims to empower women socially and economically through financial and social support, training, and employment.

1. Group behavior

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It is common to remove your shoes before entering a building. Follow the lead of your host. Alcohol and pork are illegal. In the Muslim world, Friday is the day of rest. There are several styles of greetings used; it is best to wait for your counterpart to initiate the greeting. Men shake hands with other men. Some men will shake hands with a woman; it is advisable for a businesswoman to wait for a man to offer his hand. A more traditional greeting between men involves grasping each other’s right hand, placing the left hand on the other’s right shoulder and exchanging kisses on each cheek. The left hand is considered unclean and reserved for hygiene avoid gestures with the right hand. Do not point at another person and do not eat with the left hand. Men walking hand in hand is a sign a friendship. Try not to cross your legs when sitting. Never show the bottom of your feet. The "thumbs up" gesture is offensive. Gifts are not necessary, but appreciated. Avoid admiring an item too much, you host may feel obligated to give it to you. When offered a gift, it is impolite to refuse. Women in Saudi Arabia are not permitted to drive vehicles.

2. Social classesThe Saudi population is characterized by a high degree of cultural homogeneity and by an equally high degree of social stratification. The territory that in 1992 constituted the Kingdom of Saudi Arabia consisted of four distinct regions and diverse populations. Each region has sustained some measure of nomadic and seminomadic population: as recently as 1950, at least one-half the total population of the kingdom was estimated to be nomadic. Tribal identities were paramount among the nomadic population and among those in towns and villages who recognized a tribal affiliation. The Eastern Province had a substantial Shia population with cultural links to Iran, Bahrain, and other places in the gulf region, as well as an Indian, Yemeni, and black African component. Asir was more closely linked to Yemen than to Saudi Arabia both by population and geography. Najd was geographically divided into three regions, with town centers that functioned almost as independent city-states until the early twentieth century. Until the era of development began in the 1960s, Najd remained relatively isolated, located as it was in the center of the peninsula in the midst of three deserts and a mountain chain, but its towns, too, had populations linked to the gulf, the Hijaz, and Africa.

3. Clubs, other organizationsFootball is the most popular sport in Saudi Arabia. Football in Saudi Arabia is governed by Saudi Arabia Football Federation. It was founded in the year of 1956. It performs the function of administering both the club competitions and the national football team of Saudi Arabia.The founder of Saudi Arabia Football Federation is Prince Abdullaha Bin Fasal al Saud.

4. Race, ethnicity, and subculturesArab 90%, Afro-Asian 10%F. Business customs and practicesKnowledge of Saudi etiquette and the personal manner in which they conduct their business is imperative for starting any commercial venture in the country. Patterns of

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rank and status, which can be based on age and gender for example, are strictly observed in all social and business situations. Though Saudis tend to be comparatively relaxed about punctuality they never allow meetings to encroach on their time of prayer. As business in Saudi Arabia is still based on personal reference, establishing trust can be the starting point.

First ContactAppointments are necessary and should be made several weeks in advance followed by verbal confirmation a couple of days ahead of the meeting.

GreetingsAddress your Saudi Arabian counterparts with the appropriate titles Doctor, Shaikh (chief), Mohandas (engineer), and Ustadh (professor), followed by his or her first name.

Arabs traditionally use the right hand for all public functions, including shaking hands, eating, drinking and passing objects to another person.

How to Present Yourself

Arabs prefer addressing people by their first names.Business Relations

It is important to develop a degree of trust and familiarity before starting a business relationship. Thus face-to-face meetings and leisure meetings play an important role. Though the modern Saudi Arabia has adopted many of the business methods and styles of the West, differences remain. Considerable time may be spent exchanging courtesies, and several visits may be needed to establish a business relationship.

GiftsGift giving is appreciated but is not necessary. Gifts are generally exchanged only between close friends and are seen as rather personal in nature.Business CommunicationDuring a business meeting, people use body language and eye-contact rather than direct words. During the conversation people make assumptions about what is not said. Particular emphasis is placed on tone of voice, the use of silence, and facial cues. It is vital to be aware of these non-verbal aspects of communication in any business setting in order to avoid misunderstandings. For instance, silence is often used for contemplation and one should not feel obliged to speak during these periods.

Dress CodeDress code is monitored by the regional police who are responsible for the enforcement of a modest dress-code in accordance with Islamic law. Visitors to Saudi are expected to dress in a conservative, smart fashion.

Men should wear suits and ties for business meetings, despite the heat. Women should wear business suits with full length skirt and scarf. Visitors should not wear traditional Saudi attire.

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Most Saudi locals wear a traditional dress. Broadly the ensemble consists of three items: Body garment, Head Scarf and Head Rope.

Visiting Cards

Business cards are common but not essential to business culture. If you choose to present business cards, it is advisable that you have the information printed in both English and Arabic.

V. Religion and aestheticsWe may experience numerous distressing events in the relations we establish with others. We may be distressed by some people’s selfishness, by the lack of understanding of others, or by still others’ obstinacy, inability to listen, mocking jokes or affectation. One issue, which most people may never think about, lies at the basis of this common unease — lack of quality. Quality is vital in Islam. A lifestyle devoid of love, understanding, art and beauty predominates in many Islamic countries today. Although this totally conflicts with the fine and clean lifestyle that Allah describes in the Qur’an, it is still regarded as largely legitimate by those societies. Yet a lifestyle devoid of quality and a way of thinking devoid of beauty are unbecoming of a Muslim.This lifestyle devoid of quality spreads over a wide sphere involving all of life, from the way a person thinks to their pleasures, from their goals to their conception of beauty and humor, from their deportment to their speech and what they eat and drink. When quality is not valued and when concepts such as beauty are missing from people’s lives, the world literally comes to resemble hell. The importance of quality, cleanliness and fastidiousness instead of living a coarse lifestyle is revealed with particular emphasis in the Qur’an. In the verse, “Purify your clothes. Shun all filth” (Surat Al-Muddaththir, 4-5) Allah reveals that Muslims must use all their means to live a spotlessly clean life. Quality must therefore be one of the main features of Muslim communities.

Religion and other belief systemsMuslim (official; citizens are 85-90% Sunni and 10-15% Shia), other (includes Eastern Orthodox, Protestant, Roman Catholic, Jewish, Hindu, Buddhist, and Sikh) (2012 est.)

Despite having a large expatriate community of various faiths (more than 30% of the population), most forms of public religious expression inconsistent with the government-sanctioned interpretation of Sunni Islam are restricted; non-Muslims are not allowed to have Saudi citizenship and non-Muslim places of worship are not permitted (2013)

1. Orthodox doctrines and structures

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Relationship with the people As Muslims, Saudi Arabians participate in a community (ummah) in which issues of race, ethnicity, and national origin should be of no significance and never form the basis for social action, political behavior, and economic organization. The identity of Muslim transcends the borders of states and ideally takes precedence over all other identities.

Socially, however, the concept of origin (asl)is strong among many Saudi Arabians. Some people, mainly in Hijaz, are recognized descendants of Muhammad and are known asAshraf. Many others throughout the kingdom assertpatrilineal descentfrom eponymous ancestors from ancient Arab tribes. Still others stress Arabian origins but without tribal connections. However, Saudi citizenship embraces people with historical origins outside the Arabian Peninsula. Considerations of origin are important markers and influence social interaction, including marriage, but do not translate directly into economic or power differentials in the national society. Moreover, the social significance of such considerations is waning, especially among younger people

Which religions are prominent?Saudi Arabia is the birth place of Islam. Therefore prominent religion is Islam .

5. Membership of each religionThe official form of Islam is Sunni of the Hanbali school, in its Salafi version.[citation needed] According to official statistics, 85-95% of Saudi citizens are Sunni Muslims, 10-15% areShia.[9] (More than 30% of the population is made up of foreign workers[9] who are predominantly but not entirely Muslim.) It is unknown how many Ahmadi Muslims there are in the country.[10] The two holiest cities of Islam, Mecca and Medina, are in Saudi Arabia. For many reasons, non-Muslims are not permitted to enter the holy cities although some Western non-Muslims have been able to enter, disguised as Muslims . The large number of foreign workers living in Saudi Arabia (8 million expatriates out of a total population of 27 million[13]) includes non-Muslims.

6. Any powerful or info entail cults?Islam is the state religion of Saudi Arabia. The connection between Islam and Saudi Arabia (or at least the western Hejaz region of the country) is uniquely strong. The kingdom, which sometimes is called the "home of Islam",[1] is the location of the cities of Mecca and Medina, where Muhammad, the messenger of the Islamic faith, lived and died, and attracts millions of Muslim Hajj pilgrims annually, and thousands of clerics and students who come from across the Muslim world to study. The official title of the King of Saudi Arabia is "Custodian of the Two Holy Mosques"—the two being Al-Masjid al-Haram in Mecca and Al-Masjid al-Nabawi in Medina—which are considered the holiest in Islam

B. Aesthetics1. Visual arts (fi ne arts, plastics, graphics, public art, colors, etc.)

Tribal symbols referred to as "wusum" were carved by Bedouins during prehistoric times and are found as rock art in the hills and deserts of Arabia.

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2. MusicThe music of Saudi Arabia includes both Western and traditional music. The most distinguished musician in recent Saudi history is Tariq Abdulhakeem, who composed hundreds of famous Saudi songs for himself as well as for other singers. Saraj Omar has become a very prominent composer after composing the music for the Saudi national anthem. In 1999, the 1st Arab Pioneers Festival, which was held in Cairo under the patronage of the Arab League, honored four of the lead composers in Saudi Arabia: Tariq Abdulhakeem, Ghazi Ali, Mohamed Abdu, Saudi Arabia's first pop star, and the late Talal Maddah, known as the "Sound of the Earth", who died in August 2000 while singing in the summer festival on the stage of Al-Muftaha Theatre in the southern region of Saudi Arabia. Of the same generation are the 'ud virtuoso Abadi al Johar, Rabeh Saqer andAbdul-Majeed Abdullah

Folklore and relevant symbolsFolk art gives the Kingdom of Saudi Arabia an exquisite distinctiveness that differs from province to province. Such beautiful folk art enriches the Kingdom’s heritage, adding a touch of fun and charm to its solemnity. Saudi Arabian folk art is varied and diverse, and people are encouraged to both view and appreciate it as well as participate in creating it. Perhaps one of the most important characteristics of Saudi Arabia is that due to the Kingdom’s important strategic location its ancient history contains many varieties of folklore that have been passe on through the generations. The Kingdom was the scene of many cultures, battles and historic events, and all of these integrated into a variety of folk art. The Kingdom is replete with many types of folk art, which vary according to the geographic diversity of the environment. From the sea to the mountains to the desert, as well as the agricultural plain areas, each resulted in a tremendous amount of folklore that was created in the conditions prevalent in that location and period of time.

VI. Living conditionsIf you are living within Saudi Arabia you will be aware of the many rules that you have to abide by, restrictions that would be challenged in any court in the west. But this is Saudi Arabia, the birth place of the Muslim religion and the Saudi interpretation of the rules is extreme. Prayers are observed 5 times per day and everything stops, I mean everything; stores close, businesses stop and everyone goes to pray in the mosque, in the office or even in the street. If you time your visit to the supermarket wrongly you will find yourself with a full trolley and a 30 to 40 minute wait before the checkout staff return. But despite the rules, the heat (sometimes 50 degrees), Saudi working practices and the frequent encounters with people you want to strangle; I have found living in Saudi Arabia to be one of the best experiences of my life

A. Diet and nutrition1. Meat and vegetable consumption rates

Meat consumption Rate. 203(1000MT CWE) 2016est. F&V consumption in the students of university of Dammam is far less than the WHO recommended level. There is a dire need to educate Saudi youth about the importance of F&V in their diet for a healthier life

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3. Typical mealsThe Arabian people have consumed the same type of food for thousands of years. Some of the common food items in Saudi Arabian cuisine include wheat, rice, lamb, chicken, yogurt, potatoes and dates. Shawarma and Falafel are two common dishes which are originally Levantine and Egyptian dishes respectively.

4. Malnutrition ratesMalnutrition rates in KSA is 2.33.

Housing In 2000, there were about 3,427,670 occupied households in the country, serving about 20,846,884 people. About 32% of all occupied housing units were apartments, 29.8% were traditional single-family houses, and 20% were single-household villas. Most housing is constructed of concrete and brick. About 44.5% of all occupied housing is owner occupied.

The continuing influx of rural people to towns and cities, coupled with the rise in levels of expectation among the urban population, has created a serious housing problem; improvement in urban housing is one of Saudi Arabia's foremost economic needs. Some 506,800 dwelling units were built in the period 1974–85: 389,000 by the private sector, with the help of the Real Estate Development Fund, and 117,800 by the Deputy Ministry of Housing and other government agencies. In the oil districts, Aramco, through loans and other assistance, has encouraged construction of private homes and has built accommodations for its unmarried Saudi staff members. The Real Estate Development Fund, established in 1975, continues to provide interest-free loans for home construction to individuals as well as private companies.

2. Do most people own or rent?The Population Statistic Center at King Saud University (KSU) in Riyadh recently published a study that shows that 52 percent of Saudis who live in Riyadh do not own their houses.The overall rate of Saudis who own homes in the Kingdom was estimated at 60 percent, while 35 percent of Saudis live in rented houses. The remaining 5 percent gets their housing provided by their employers.In small cities and villages, like Baha, Jazan, Abha, Jubail, more Saudis tend to own a house, due to their high purchasing power and social traditions.

Clothing1. National dress

All women are required to wear a long black cloak that covers all but the hands and face called an abaya in public. (Modest dress is compulsory for women in Islam but the color black for women and white for men is apparently based on tradition not religious scripture.[43]) Saudi women also normally wear a full face veil, such as a niqāb. Women's clothes are often

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decorated with tribal motifs, coins, sequins, metallic thread, and appliques. Foreign women are required to wear an abaya, but don't need to cover their hair.

Saudi men and boys, whatever their job or social status, wear the traditional dress called a thobe or thawb, which has been called the "Wahhabi national dress".[46] During warm and hot weather, Saudi men and boys wear white thobes. During the cool weather, wool thobes in dark colors are not uncommon. At special times, men often wear a bisht or mishlah over the thobe. These are long white, brown or black cloaks trimmed in gold. A man's headdress consists of three things: the tagia, a small white cap that keeps the gutra from slipping off the head; the gutra itself, which is a large square of cloth; and the igal, a doubled black cord that holds the gutra in place. Not wearing an igal is considered a sign of piety. The gutra is usually made of cotton and traditionally is either all white or a red and white checked. The gutra is worn folded into a triangle and centred on the head.

2. Types of clothing worn at workThe main item of business clothing for Saudi Arabian men is the thawb, a long white robe that covers the body from the neck to ankles. They also don a white or red-and-white-checked headscarf, or ghutrah. A head rope, or agal, holds this scarf in place. Saudi Arabian men commonly wear leather, open-toed sandals with this outfit. Foreign men are free to wear traditional business clothing should they choose.

The main item of business attire, or indeed any attire in a public setting, is the abaya, a long, black flowing robe similar to the thawb which covers the body entirely from neck to ankles. In addition to a veil, or boshiya, which covers the lower part of the face, Saudi Arabian women also wear a head scarf. Any kind of formal footwear is appropriate. Foreign women are free to wear traditional business clothing should they choose

D. Recreation, sports, and other leisure activities1. Types available and in demand

Popular types of leisure activities include horse/camel racing and falconry. Sports, adventure and recreation in Saudi Arabia is an indispensable part of the day-to-day lifestyle of the Saudi Arabians. Some of these sports are included in Saudi Arabia’s famous festivals like the annual Jenadriyah National Culture and Heritage Festival which includes camel racing.

Camel Racing

Camels from around the country are brought to the sporting ground for the race. Camel racing is much more than just a sporting event to the Saudis; it is a token of honour. The winning camel is worth thousands of riyals and also brings pride to both the trainer and its owner. Thus, competition and rivalry among the camel owners is intense. Camel races are often held in the King Fahd International Stadium during winters. King’s Camel Race, the world’s largest camel race is held there too, attracting spectators from worldwide.

Falconry

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Falconry is yet another traditional sport which originated centuries ago. The Art of Falconry is a challenging feat and it is time consuming as the falconer must tame the falcon. Training a falcon is time-consuming and requires enormous patience since the falconer must carry the bird on his arm for several hours each day. The falcon hunting season in Saudi Arabia is from October to March. The two most popular falcons are the Saker and the Peregrine.

Soccer

Soccer has become one of the most popular modern sports among Saudis of all ages, from children scrimmaging on play- grounds to international matches battled out in spectacular modern stadiums. Friends and families often watch at home or at stadiums to embrace their love for this sport and to support their favorite teams. The professional Saudi soccer league is wildly popular among Saudis. The highlight of the Saudi soccer league is its championship tournament known as the King’s Cup. Fans also enthusiastically follow the Saudi Arabian national soccer team in World Cup competition.

Golf

The interest shown by the Saudi Arabian people in the sport of golf has also been growing ever since about twenty years ago. Saudi Arabia has a number of first-class golf courses. One of them is the Dirab Golf Course, found in Riyadh in the Dirab valley. It is Saudi Arabia’s first ever 18 holes championship quality golf course, situated near the Mountain Escarpment of Tuwaiq.

Outdoor Recreation

Saudis enjoy a wide range of leisure activities. Families can relax at hundreds of parks, campsites, picnic grounds and other facilities throughout the country. Long stretches of coast and spectacular coral reefs make water sports such as snorkeling and wind surfing accessible. Saudi Arabia has established a network of national parks and reserves. One of the most prominent national parks in Saudi Arabia is the 1.1 million acre Asir National Park where visitors can hike, camp, climb hills and enjoy other outdoor activities. Saudi Arabia’s largest protectorate is Al Khunfah, where visitors can observe wildlife such as gazelles and Oryx in their natural habitats. In the cities, people can relax in hundreds of urban parks. There are 50 public parks in Riyadh. The waterfront of Jeddah and Dammam are also popular places for picnics, swimming, fishing and other water sports. Camping is a popular activity among Saudis. Families pitch tents in the middle of the desert, along the coast or in one of Saudi Arabia’s parks, and enjoy the beauty of nature. These camping trips are popular during the Eid holidays and for family reunions, especially after the rainy season when the desert blooms.

Wildlife

Saudi Arabia is home to a variety of animals including the Arabian Oryx, a type of antelope native to the Arabian Peninsula that roams freely in Saudi Arabia’s large desert. Other animals found in Saudi Arabia include gazelles, the ibex (a type of wild mountain goat) the bustard, and the swift saluki hound, a dog named for an ancient city in southern Arabia. The saluki is generally considered to be the world’s oldest domesticated dog. The famous purebred Arabian horse is one of the most popular breeds in the world; with a bloodline that dates back thousands of years. The Arabian’s fine shape and extraordinary stamina and speed make it ideal

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for racing and breeding. There are also many camels in Saudi Arabia. They have been used as a means of transportation for thousands of years. Today, camel racing is a popular sport. Saudi Arabia has taken major steps to preserve its native wild and marine life and established preserves.

E. Social securitySaudi Arabia has an extensive social security system which provides old age, disability and survivor benefits for its employed and self-employed nationals. There are no statutory benefits for sickness and maternity, but the law requires employers with more than 20 employees to pay sick leave to their employees. Foreign workers are excluded from this system.

F. HealthcareThe Ministry of Health (MOH) is the major government agency entrusted with the provision of preventive, curative and rehabilitative health care for the Kingdom’s population. The Ministry provides primary health care (PHC) services through a network of health care centers (comprising 1,925 centers)[1] throughout the kingdom. It also adopts the referral system which provides curative care for all members of society from the level of general practitioners at health centers to advanced technology specialist curative services through a broad base of general and specialist hospitals (220 hospitals).[1] The MOH is considered the lead Government agency responsible for the management, planning, financing and regulating of the health care sector. The MOH also undertakes the overall supervision and follow-up of health care related activities carried out by the private sector. Therefore, the MOH can be viewed as a national health service (NHS) for the entire population.

LanguageA. Offi cial language(s)

The formal version of the Arabic language, known as Classical Arabic or Fus-ha, is the language in which the Qur’an is written and is considered by most linguistics to be the foundation of the syntactic and grammatical norms of the Arabic language. The Classical form of Arabic remains widely used by religious scholars and is taught in colleges and universities around the world. Today, however, Classical Arabic is considered almost exclusively a written language, rather than a spoken one

B. DialectsHejazi Arabic, spoken in Saudi Arabia along the coast of the Red Sea, especially in the cities of Mecca and Jeddah. Strictly speaking, there are two distinct dialects spoken in the Hejaz region, one by the Bedouin rural population and another by the urban population.

VIII. Executive summaryAfter completing all of the other sections, prepare a two-page (maximum length)summary of the major points and place it at the front of the report. The purposeof an executive summary is to give the reader a brief glance at the critical points

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of your report. Those aspects of the culture a reader should know to do businessin the country but would not be expected to know or would fi nd different basedon his or her SRC should be included in this summary.

IX. Sources of information

ECONOMIC ANALYSISIntroduction

II. PopulationTotal

31,000,000 M (2016January)

Growth rates 1.49% (2014)

Number of live births 56900

3 Birthrates 18.78 births/1,000 population (2014)

Distribution of population1. Age

0–14 years 27.6%

15–64 years 69.2%

65 and over 3.2%

2. Sex

At birth 1.05 male(s)/female

Under 15 1.05 male(s)/female

15–64 years 1.22 male(s)/female

65 and over 1.08 male(s)/female

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3. Geographic areas Geographically, Saudi Arabia is divided into four (and if the Rub al-Khali is included, five) major regions. The first is the Central region, a high country in the heart of the Kingdom; secondly, there is the Western region, which lies along the Red Sea coast. The Southern region, in the southern Red Sea-Yemen border area, constitutes the third region. Fourthly, there is the Eastern region, the sandy and stormy eastern part of Saudi Arabia, the richest of all the regions in petroleum

4. Migration rates and patterns-0.59 migrant(s)/1,000 population (2014 est.)

5. Ethnic groupsArab 90%, Afro-Asian 10%

Economic statistics and activity Gross national product (GNP or GDP)

1.Total$653.2 billion (2015 est.

2. Rate of growth GDP3.60 PERCENT

B. Personal income per capita$53,600 (2015 est.

Average Annual income per capitaThe average Saudi per capita annual income of SR 93,472 ($ 24,925) is one of the highest in the Middle East and North Africa region, Standard and Poor’s said.However, the credit rating agency put Saudi Arabia as the fourth among GCC countries.S&P also said the Kingdom needs to diversify its economy away from oil.Dubai has the highest income among GCC countries, the agency said.Ibrahim Al-Assaf, the minister of finance, said the Kingdom should rank higher than the Standard and Poor’s rating

Distribution of wealthCountry Wealth per

capitaWealth per adult

Share of world wealth (%)

Wealth Gini

Saudi Arabia 22025 43046 0.29 0.737

E. Minerals and resourcesIn addition to its vast oil and gas reserves, the Kingdom is rich in mineral deposits.Gold mining began in Saudi Arabia some 5,000 years ago. Since then, there have been periods when gold mining has been pursued vigorously (e.g. in the Islamic Abbasid period between the

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8th and 13th centuries CE). Three thousand years ago, the mine known as the Cradle of Gold (Mahad Al-Dhahab), some 180 miles north ofJiddah, was a rich source of gold, silver and copper.

According to the Fourth Five Year Plan, gold had been discovered at some 600 sites around the Kingdom and a total of 29 prospects have been drilled. The Mahad Al-Dhabab gold mine was re-opened by Petromin with the intention of developing a high-grade underground gold mine with a capacity of 400 tons of ore per day. This venture encouraged further exploration for gold elsewhere in the Kingdom.

All known gold deposits in the Kingdom are located in the Pre-Cambrian rocks of the Arabian Shield which lies in the western region of Saudi Arabia.

Silver and base metal deposits (bauxite, copper, iron, lead, tin and zinc), as well asnon-metallic minerals (bentonite, diatomite, fluorite, potash and high-purity silica sand) have all been discovered, attesting to the wealth that remains, still largely unexploited, beneath the Kingdom's soil

Surface transportationUntil recent decades, the camel was the chief means of transportation in Saudi Arabia, but enormous strides have been made since the early 1970s. By 2002, there were 146,524 km (91,050 mi) of highway, of which 44,104 km (27,406 mi) were paved. Modern roads link Jeddah, Mecca, Medina, Aţ Tā'if, and Riyadh. A new highway connects Saudi Arabia with Jordan, and a causeway completed in 1986 offers a direct connection with Bahrain. In 2003, there were 2,889,384 passenger cars and 1,720,910 commercial vehicles registered for use. Most within-country freight is hauled by truck. The Saudi Government Railroad, which operates between Ad Dammām and Riyadh over a length of 575 km (357 mi), was built by the Arabian American Oil Co. (ARAMCO) during the 1950s. As of 2004, railroad lines totaled 1,392 km (865 mi) of standard-gauge track.

In 2004, there were an estimated 201 airports. As of 2005, a total of 73 had paved runways, and there were also six heliports. Major airports include Dhahran International at Dhahran, King Abdul Aziz at Jeddah, and King Khaled International at Riyadh. The government-owned Saudi Arabian Airlines (Saudia) operates regular domestic and foreign flights to major cities. Because of the large distances that separate the main cities, air travel is preferred within the kingdom. In 2003, about 13.882 million passengers were carried on scheduled domestic and international flights.

Jeddah, on the Red Sea, is the chief port of entry for Muslim pilgrims going to Mecca. Saudi Arabia has the largest seaport network in the Near East, with eight major ports with 183 piers and three smaller ports. Ports include Ad Dammām, Yanbu' al-Bahr, Jizan, Duba, Jeddah, Jizan, Rabigh, Ra's al Khafji, Mishab, Ras Tanura, Madinat Yanbu' al Sinaiyah, and Jubail (Al-Jubayl). In 2005, there were 64 ships of 1,000 GRT or more, totaling 1,306,706 GRT in the merchant fleet. The traditional dhow is still used for coastal trade.

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G. Communication systemsThis article is about telecommunications in Saudi Arabia which includes fixed and cellular phones, internet as well as radio and television broadcasting and issues relating to the provision of these services. Saudi Telecom Company (STC) is the first company in Saudi Arabia, and then allowed Communications Commission to compete with other companies in Saudi Arabia and then it becomes a number of telecom companies in Saudi Arabia four companies: (1). STC Mobile: It STC includes landlines and mobile, and includes a mobile (phone), (Sawa) and (us). (2) Integrated Telecom Company (ITC) second operator after STC, established in 2005 and offers internet, broadband, connectivity and satellite services for businesses, consumers and wholesale (3). Mobily: the UAE's telecommunications company, which is the mobile and internet Fabraupetk (Fiber Optic) New Ground. (4). ZIN Zain: a Kuwaiti company, which is the only mobile (5). GO ATHEEB: a Saudi modern, with an Internet connection line is similar to Ground.

H. Working conditionsBut because the region has no personal taxation, net income is usually much greater, which is one of the major attractions of working in Saudi Arabia. In the past, remuneration packages were split into various elements: basic salary, car provision or allowance, housing provision or allowance, medical cover, education for children and air tickets for home visits. Today, however, employers tend just to pay a salary, which covers all these expenses, although in some cases there are performance or other bonuses.

In addition to their salary, contract workers are awarded an ‘indemnity’ at the end of the contract period. Saudi Arabia legislates that the indemnity is based on the value of the entire remuneration package including performance bonuses (where applicable). The indemnity can be a significant amount of money if you’ve been working in Saudi Arabia for a long time, and many people manage either to accumulate a reasonable financial cushion or to live the high life. If you’re clever and disciplined, you should be able to do some of both. The indemnity has nothing to do with insurance but is an end-of-contract bonus which is required by law to be paid to expatriate workers as a sort of ‘thank-you’ for being of service to the state. (It’s also known as ‘end of service benefits’.) Indemnity scales usually amount to 15 (in some cases 20) days of basic pay per year of employment for the first three years and thereafter a month’s salary per year of employment.

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Note that some Arab companies regularly delay the payment of salaries, cash flow problems being passed on to their staff. In this event, you have little alternative but to wait.

Working Hours & OvertimeThe working week in Saudi Arabia tends to vary between 40 and 48 hours, depending on the particular company’s policy. In the month of Ramadan, the working day is reduced to six hours and legally this should apply to all staff, but many companies only apply it to Muslims, who fast during daylight hours. There are no differences in timekeeping between summer and winter

Office hours vary, ranging from 7.30am - 8am until noon, then from 3.30pm - 4pm until 7pm - 8pm. Although there are some offices which may close at 6pm. Keep in mind that most government offices are open from 7.30am to 2.30pm and general banking hours are from 8 am until noon, and then from 5pm until 8pm. It is important to take into account the five daily prayer times, as well as Islamic holidays.

Friday is the Muslim day of rest and if your company has a five-day working week, your other day off would probably have been either Thursday or Saturday. Saudi Arabia now enjoys a Sunday-Thursday work week, with Friday-Saturday its official weekend. Saturday used to be the more popular choice for international companies, as taking Thursday off would mean a reduction in the number of operational days in common with much of the rest of the world.

Conversely, other companies insisted on Thursday, as the school ‘weekend’ is Thursday and Friday. The decision to implement Saturday as the second day off was made by the government to make sure that companies do not miss out on economic opportunities on Thursdays, especially regarding international businesses

I. Principal industriesSaudi oil reserves are the second largest in the world, and Saudi Arabia is the world's leading oil exporter and second largest producer. Proven reserves, according to figures provided by the Saudi government, are estimated to be 260 billion barrels (41 km3), about one-quarter of world oil reserves. Petroleum in Saudi Arabia is not only plentiful but under pressure and close to the earth's surface. This makes it far cheaper and thus far more profitable to extract petroleum in Saudi Arabia than in many other places.[18] The petroleum sector accounts for roughly 92.5% of Saudi budget revenues,[17] 97% of export earnings, and 55% of GDP.

Another 40% of GDP comes from the private sector. An estimated 7.5 (2013) million foreigners work legally in Saudi Arabia,[19]playing a crucial role in the Saudi economy, for example, in the oil and service sectors. The government has encouraged private sector growth for many years to lessen the kingdom's dependence on oil, and to increase employment opportunities for the swelling Saudi population. In recent decades the government has begun to permit private sector and foreign investor participation in sectors such as power generation and telecom, and

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acceded to the WTO. During much of the 2000s, high oil prices[20] enabled the government to post budget surpluses, boost spending on job training and education, infrastructure development, and government salaries. More than 95% of all Saudi oil is produced on behalf of the Saudi Government by the parastatal giant Saudi Aramco, and the remaining 5% by similar parastatal companies as of 2002

J. Foreign investmentIn recent years, FDI flows to Saudi Arabia have followed a downward trend. According to the 2015 World Investment Report published by UNCTAD, the country is now only the third largest FDI recipient in Western Asia, after Turkey and the United Arab Emirates. In 2014, FDI flux declined by 9.6% compared to 2013, rising to USD 8 billion. Political and social tensions, reduced access to credit and the policy of "Saudisation," which started in 2011 and favours a domestic labour force, have all been obstacles to FDI. Still, the Government has invested heavily in national infrastructure to attract investment, and FDI is seen as one of the most effective ways to diversify the economy and provide employment for younger generations. The Government recently announced the opening of theretail and wholesale sectors to 100% foreign ownership. The authorities welcome FDI due to its ability to transfer technology, employ and train the national workforce, foster economic development and enhance local raw materials. The country's controlled inflation and relatively stable exchange rate, openness to foreign capital in upstream gas, as well as extensive privatisation programmes are among the advantages attracting investors to the country. The dynamic performance of the banking sector is driving the growth of the non-oil sector. Lastly, access to the world's largest oil reserves, very low energy costs and a high standard of living are decisive factors for foreign investors

International trade statistics

Exports $224.6 billion (2015 est.) [5]

Export goods petroleum and petroleum products 90%

Main export partners

United States 14.3% China 13.7% Japan 13.7% South Korea 9.9% India 8.2% Singapore 4.3% (2012 est.)

Imports $136.8 billion (2012 est.

Balance-of-payments situationThe net financial account shows net acquisition and disposal of financial assets and liabilities. It measures how net lending to or borrowing from nonresidents is financed,

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and is conceptually equal to the sum of the balances on the current and capital accounts. Data are in current U.S. dollars

Date Value Change, %

2015 63,985,985,600 -49.43 %

2014 126,532,893,333 3.58 %

2013 122,157,286,667 10.68 %

Exchange rates1 PKR = 0.0357820 SAR 1 SAR = 27.9470 PKR

Trade restrictionsIn 2005, Saudi Arabia became the 149th country to join the World Trade Organization (WTO). As part of WTO commitments, the country’s trade regime should become more transparent and more accommodating to non-Saudi businesses.

As of the date of this report, Saudi business and laws still favor Saudi citizens, and Saudi Arabia still has trade barriers, mainly regulatory and bureaucratic practices, which restrict the level of trade and investment.

Nevertheless, the Government has liberalized the wholesale, retail, and franchise sectors, allowing foreign investors to establish joint ventures and retain a 51% share. The foreign partner’s capital requirement is set at $5.3 million (SR 20 million) and his equity share can be increased to 75% after 3 years from the contract date. All industrial enterprises are open to non-Saudis, and they can also trade in the products they manufacture. Restrictions on individual professions also are in force, such as who can practice law, medicine, accounting and financial services, architect and engineers, and other similar professions. A Saudi joint venture partner is a requirement for any entity or individual to practice the above-mentioned professional services.

Other trade barriers include:

• Commercial Disputes Settlement

There is not yet a transparent, comprehensive legal framework in place for resolving commercial disputes. Saudi commercial law is still developing, but in 1994 the Saudis took the

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positive step of joining the New York Convention of 1958 on the Recognition and Enforcement of Foreign Arbitral Awards. Saudi Arabia is also a member of the International Center for the Settlement of Investment Disputes (also known as the Washington Convention). However, dispute settlement in Saudi Arabia continues to be time-consuming and uncertain. Even after a decision is reached in a dispute, effective enforcement of the judgment can still take years. Generally, the Board of Grievances has jurisdiction over disputes with the government and over commercial disputes.

In October 2007, King Abdullah issued a royal decree to overhaul the Kingdom’s judicial system, including allocating 7 billion SAR (approximately $1.9 billion) to train judges and build new courts. The decree establishes two Supreme Courts, a general court and an administrative court, and specialized labor and commercial tribunals - although implementation has been slow. On February 4, 2009, the King reshuffled the Government appointing a new Minister of Justice, a new President of the Grievance Board, and a new Chairman of the Supreme Judicial Council. Industry sources expect the reshuffle to expedite the overhaul of the Kingdom’s judicial system.

• Business Visas

All visitors to Saudi Arabia must have a Saudi sponsor in order to obtain a business visa to enter Saudi Arabia. Business visitors and foreign investors can apply through the Saudi Arabian General Investment Authority (SAGIA) for a visitor visa at the Saudi Embassy or Consulates in the United States. Saudi Arabia has also begun to implement a decree stating that sponsorship for certain business visas is no longer required. Based on new instructions, the issuance of a visitor’s visa should be affected within 24 hours from the application date.

While most business visas are valid for only one entry for a period of up to three months, the Saudi Embassy in Washington has begun issuing a 5-year multiple entry visa for selected business people, taking into consideration the principle of reciprocity. Finally, the Saudi Ministry of Foreign Affairs is currently examining the issuance of a visitor’s visa at ports of entry for selected nationalities.

• Delayed Payments

This issue is an important concern for affected American companies. The Government, due to past fiscal constraints, had in the past fallen into arrears on payments to private contractors, both Saudi and foreign. Some companies carried Saudi Government receivables for years before being paid. The Government appears committed to clearing remaining arrears, but the problem persists. U.S. companies should check with the U.S. Embassy or Consulates if a problem arises.

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• Intellectual Property Protection

Saudi Arabia recently undertook a comprehensive revision of its laws covering intellectual property rights to bring them in line with the WTO agreement on Trade Related Aspects of Intellectual Property Rights (TRIPs). The Saudi legal system protects and facilitates acquisition and disposition of all property rights, including intellectual property. The Saudi Government recently updated their Trademark Law (2002), Copyright Law (2003), and Patent Law (2004) with the dual goals of TRIPs-compliance and effective deterrence against violators. In 2008 the Violations Review Committee created a website and has populated it with information on current cases. The government also endorsed the country’s joining the “Paris Convention for Protection of Industrial Property” and the “Berne Convention for the Protection of Literary and Artistic Works”. Though intellectual property protection has steadily increased in the Kingdom, piracy remains a problem.

The current Law on Patents, Layout Designs of Integrated Circuits, Plant Varieties and Industrial Designs has been in effect since September 2004. Largely due to a lack of adequate resources and technical expertise, when this law went into effect the patent office had issued just over 40 patents and had a large backlog (more than 9,000 applications dating back to issuance of Saudi Arabia’s first patent law in 1989). The office has since streamlined its procedures, hired more staff, and reduced this backlog. Protection is available for product and product-by-process. The term of protection was increased from 15 years to 20 years under the new law, but patent holders can no longer apply for a routinely granted five-year extension. However, SPO applied the new law retroactively thus disallowing and rejecting hundreds of pending patent applications including those pertaining to pharmaceutical products. While the new law is being retroactively applied, patents in the Kingdom of Saudi Arabia may be easily exposed to infringements.

Trademarks are protected under the Trademark Law. The Rules for Protection of Trade Secrets came into effect in 2005. Saudi Arabia has one of the best trademarks laws in the region, but enforcement still lags and procedures are inconsistent.

American firms that wish to sell products in Saudi Arabia should work through their local representative to register their trademarks with the Ministry of Commerce and Industry, copyrighted products with the Ministry of Information, and patents with KACST or the GCC Patent Office. Although these government entities are responsible for IPR protection in their respective areas, any reported incident of piracy or infringement may not entail immediate and decisive action by the concerned government entity.

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The Saudi Government has revised its Copyright Law, is devoting increased resources to marketplace enforcement, and is seeking to impose stricter penalties on copyright violators. The Saudi Government has stepped up efforts to force pirated printed material, recorded music, videos, and software off the shelves of stores. These efforts included stepping up raids on shops selling pirated goods in 2008. However, many pirated materials are still available in the marketplace. An Islamic ruling, or “fatwa,” stating that software piracy is “forbidden” backs enforcement efforts. Saudi Arabia remains on the Special 301 Watch List for 2008.

Saudi Arabia has not signed and ratified the WIPO internet treaties.

• CounterfeitingManufacturers of consumer products and automobile spare parts are particularly concerned about the widespread availability of counterfeit products. Anti-counterfeiting laws exist, and the U.S. Government has urged the Saudi authorities to step up enforcement actions against perpetrators. In some popular consumer goods, manufacturers estimate that as much as 50% of the entire Saudi market is counterfeit. In order to restrict the entry of counterfeit products, the Saudi Customs Authority recently implemented a new directive requiring all imported goods to clearly display the “Country of Origin” or “Made in ….” on the items in an irremovable manner either by engraving, knitting, printing, or pressing based on the nature of the imported items.

• Arab League Boycott

The Gulf Cooperation Council (Saudi Arabia, Kuwait, Bahrain, Oman, Qatar and the United Arab Emirates) announced in the fall of 1994 that its members would no longer enforce the secondary and tertiary aspects of the Arab League Boycott. The primary boycott against Israeli companies and products still applies. Advice on boycott and anti-boycott related matters are available from the U.S. Embassy or from the Office of Anti-Boycott Compliance in Washington, D.C. at (202) 482-2381

Labor force11.67 million

 About 80% of the labor force is non-national (2015 est.)

Inflation ratesConsumer prices in Saudi Arabia rose 4.1 percent year-on-year in May of 2016, slowing from a 4.2 percent increase in April. Transportation cost went up 11.3 percent (12.5 percent in April) and food and non-alcoholic beverages edged up 0.3 percent (0.8 percent in April). In contrast,

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prices of housing and utilities climbed at a faster 7.7 percent (7.5 percent in April). On a monthly basis, consumer prices were flat, following a 0.2 percent increase in April. Inflation Rate in Saudi Arabia averaged 2.79 percent from 2000 until 2016, reaching an all time high of 11.10 percent in July of 2008 and a record low of -2 percent in January of 2001. Inflation Rate in Saudi Arabia is reported by the Central Department of Statistics & Information, Saudi Arabia

Developments in science and technologyKing Abdulaziz City for Science and Technology (also KACST; Arabic: عبدالعزيز الملك مدينة

والتقنية in Riyadh, Saudi Arabiais an organization established in 1977 as the Saudi (للعلومArabian National Center for Science & Technology (SANCST); in 1985, it was renamed King Abdulaziz City for Science and Technology.

V. Channels of distribution There are three major distribution and sales regions in Saudi Arabia: the Western Region, with the commercial center of Jeddah; the Central Region, where the capital city of Riyadh is located; and the Eastern Province, where the oil and gas industry is heavily concentrated. Dammam is the capital city of the Eastern Province, and includes Dhahran. Each city has a distinct business community and cultural flavor, and there are only a few truly “national” companies dominant in more than one region.

American exporters may find it advantageous to appoint different agents or distributors for each region having significant market potential. Multiple agencies and distributorships may also be appointed to handle diverse product lines or services. Multiple agencies and distributors can present logistical and management difficulties, so U.S. firms, particularly in the franchise sector, often choose to appoint a master franchisor or distributor for states of the Gulf region, which includes Saudi Arabia, Kuwait, Qatar, Bahrain, Oman, and the UAE.

While there is no statutory requirement that distributorships be granted on an exclusive basis, it is clearly the policy of the Saudi Ministry of Commerce and Industry that all arrangements be exclusive with respect to either product line or geographic region

This section reports data on all channel middlemen available within the market.Later, you will select a specifi c channel as part of your distribution strategy.

RetailersThe Kingdom of Saudi Arabia is the largest retail market in the Gulf Co-operation Council (GCC). The economy is oil-based, with strong government controls over major economic activities. The GDP of Saudi Arabia was $921.7 billion in 2013, with GDP growing at 6.8%. Inflation is at 4% currently. Saudi Arabia has a population of around 29 million, which is expected to rise to over 38 million by 2025. The population is young, with 47.8% aged 24 and under.

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The modern retail trade accounts for around 46% of the total market, but is growing strongly. This is reflected in the number of stores being opened by all the current chains.

Hypermarkets are the most important growth format in the Saudi market. The largest retailer is Panda, who have 210 outlets and are aiming for 250 by the end of 2015. They appeal to the mass market but are actively looking to broaden their range of “western products”. Panda is owned by Al-Azizia Panda United Inc. They are aggressively expanding their geographic coverage and are now opening Panda local neighbourhood stores. They currently have a presence in 33 cities.

Al Othaim, owned by Abdullah Al Othaim Markets Company, has a total of 129 stores. The bulk of their sales are derived from supermarkets, with this category accounting for a 48% value share of its sales in 2013. The retailer targets average and below-average income groups with more emphasis on local foods than its competitors.

Bindawood Group operate stores under the Bin Dawood (supermarkets) and Danube (hypermarkets and supermarkets) banners. There are 18 Bin Dawood stores and 11 Danube stores. They have the strongest presence in the Western province.

Al Raya have a total of 30 stores across the Kingdom. They carry a good range of imported products with their target market being expats and wealthy locals.

Carrefour is expanding rapidly and is targeting middle class and wealthy locals and expats. They currently have 14 stores, with 6 hypermarkets.

The Saudi retail market is expanding strongly due to the shift by consumers to modern retail outlets, population growth, and the growth in incomes. This presents opportunities for Irish food suppliers.

For further information contact Bord Bia Dubai, michael.hussey@bordbia.ie

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Wholesale middlemenIndustry turnover projected to grow at 7% CAGR in forecast period to SR88 billion in 2018. Saudi Arabia had more than 50,000 wholesale companies in 2012, 94% of which employed fewer than 10 workers. Industry operated with 32% profit margin in 2012, up six percentage points from 2007. Non-agricultural intermediate products wholesale is largest category with 23% of earnings in 2012. Saudi Arabia’s wholesale industry generates almost SR58.5 billion in turnover in 2012, seeing 10% CAGR since 2007.

VI. MediaAs of 2006, the government has allowed some critical stories to be written by selected journalists. Although self-censorship continues to be a method of self-preservation for the nation’s media outlets, government censorship seems to be decreasing, especially on journalistic inquiries into crime and terrorism.[4] Newspapers are created by royal decree. There are more than a dozen dailies.[2] Pan-Arab newspapers from other countries are available but subject to censorship.[2] The government (BSKSA) operates almost all domestic broadcasting outlets in Saudi Arabia.[2] Censors remove objectionable material deemed offensive by the standards of Islam, including references to pork, Christianityand other religions, alcohol and sex.[4] Private TV stations cannot operate from Saudi soil.[2] Although government officials monitor Internet sites for material deemed pornographic, politically offensive, or anti-Islamic, Saudi Internet users can gain access to most sites by simply connecting through an alternative server. The government created an appeals process circa 2006 by which citizens can request that particular websites be unblocked.[4] As of 2014 There were 17.4 million internet users .

MARKET AUDIT AND COMPETITIVE MARKET ANALYSISA very large number of the KSA population are suffering in the anckle pain . Obesity is fast

turning out to be a major cause of concern for the Kingdom with seven out of 10 Saudis suffering from obesity, and 37 percent of Saudi women facing problems related to overweight. therefore we need to face the consistent serious issues related to increase in these problem, which is a matter of anxiety. The abundance of these diseases at present has often left people to think there will always be protection from these elemens in the future. But its time we thought about to contorol the causes of these element. Answer of the problem is the use of new medicated shoes. .

THE PRODUCTOur Product is modern shoes which consist on the medicted sole that control daibaties ,blood flow in the body of the wearer and other feet problems .The prospective of marketing in

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Kingdom Saudi Arabia is to generate a wider concern towards the protection from orthopedic dieases for the future.

RELATIVE ADVANTAGEThe shoes are compact and health - friendly. These are easy to use and comfortable for feet . Its sole is made by the specific material hat maintain diabtease level,blood pressure of body and feet deseases of the wearer.It also remove the heal pain and support the anckle.

COMPATIBILITYIts sole is made on the health care standered with modern technology .its sole does not heat up.it looks like common shoes . these shoes can be used when people go to offices ,morning walk,and gym .

COMPLEXITYIts sole is changeable that gives the feeling of cleanliness.its upper sole wholes works as aventilator in shoe, therefore no sweat on feet.its soft sole gives ankle support and bear the unplain surface jerk and gives plain surface to feets..

TRIALABILITY AND OBSERVABILITY

Tie up with a shoe dealer company and could have test their existing customers so that the people can get familiarized with its usability. Judge the feedbacks provided by the customers. Our marketing representatives could give them a small session to the customers about these shoes.

MAJOR ISSUESThese are not for children .

THE MARKETWe intend to concentrate more on middle class people. Nuclear families, office going individuals and professionals, even the younger lot of university students and old people who would suffer in orthopedic and feet problem, would be our target market.

GEOGRAPHICAL REGIONWe intend to have the car launched in cities like the capital Riyadh. Our target market mostly lives in Riyadh. Football compition s held in it.mostly sports ground offices,health care centers and gym.Univerties are there.its population is more than other region of KSA.

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FORMS OF TRANSPORTATION AND COMMUNICATION AVAILABLE IN KSAThe main modes of transportation in the country are air, shipments and road. Since

we wish to export shoes from our manufacturing plants in Karachi (Sindh) we tend on having the shoes shipped in containers.

CONSUMER BUYING HABITSOur target market in KSA would be the Locals. – KSA people alredy use the different brand,but we introduce the new type of shoe as they know these shoes are solve some problems of body .people know these shoes are easy to use and price would be economical..

PRODUCT-USE PATTERNSWe would suggest people to use this shoes when they went to offices ,morning walk,sports ground and universities. We does agreements with retails malls of shoes and providing them shoes that is eay approach to public.

PRODUCT FEATURE PREFERENCESEasy to use.

Comfortable and atteractive design

Suport to the anckle No sweat due to ventilation whole in shoe

DISTRIBUTION OF THE PRODUCTThe manufacturing would be basically done from our plant at Karachi, Pakistan. Hence we would be having shipment containers transported from Karachi Port to the KSA. We intend on targeting KSA for our operations as its economic is developing and further we wish to expand our business towards the rest of the Middle Eastern Countris such as UAE, Yemen and syria.

TYPICAL RETAIL OUTLETSWe have signed a contract deal along with DREW, one of the leading shoe Retailers in the KSA. We would have them to conduct a market survey among their existing customers and have our product enter into the KSA Market under their name as it's a well established retailer.

ADVERTISING AND PROMOTIONDREW is a well established Company in UAE so we wish to go ahead with their regular ways to market from newspaper flyers and adverts on the local T.V channels to promotion campaigns held to increase awareness about the car.

Few dimensions where we can ask …' marketing department to concentrate on. We intend to market the shoe to the general public by having the shoe showcased in most of the malls where

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the people could see the features of the shoe on display. Also we intend to offer free test walk for existing customers of ' DREW.

Promotion of the shoe at sports groundand Universty Festival would be our strategy to attract most of the younger generation into purchasing the shoe and knowing how beneficial it is. We would have our marketing representatives conduct seminars to educate and make them understand how important it would be to control the causes of different deseas for the future.

SALES PROMOTIONPromotions by our sales representatives can be held in malls and universities where people can come and have a look at the shoes on display. Leaflets would be distributed among the local and others so that there is a curiosity of the launch of a shoer having an health - friendly motive.

PRICING STRATEGYThe pricing of medicated shoe will be economical for middle high class families. Hence the pricing would be very affordable from the range 2,00 to 3,00 Saudi Rials for higher end models which seems to be priced pretty nominal compared to other shoes in KSA. People wouldn't mind making an investment this low.

CUSTOMARY MARKUPSOur dealers DREW would be offering advantageous services along with the purchase from their

end so they would have the pricing ranging from 2,50 KSA Rials onwards which seems to be justifiable as they would offer services along with the shoe including free socks, and 50% discount on purchase of a 2nd pair of shoe by a family.

TYPES OF DISCOUNTS AVAILABLEWe're in the process of working out discount offers for the first 100 shoe pair to be sold. This would be a good way to create an anxiety among the people regarding the product and will be a good platform for us to market. Services such as free socks and polishing of the of shoe would be offered to them for lifetime.

OUR COMPETITOR ----Bata shoesCompitittor s shoe brand are heat up easilty. Their brand are also made with the new design that support the anckle and remove the feet peoblem . ventilation structure in sole is very effective .their brand are very close to our product that is can be a serious threat to our product

Batashoes tends to launching their new shoe brands in KSA which cause as a serious threat to our product as the as their brand claims to be very health friendly and promise to give a good performance. Prices for the shoe are said to range from about 300 to 400 saudi Rials.

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COMPETITOR'S PROMOTION AND ADVERTISING METHODS AND THEIR DISTRIBUTION CHANNELSSince BATA shoe is a well established brand all over the world, people are likely to consider buying something that is offered from them. BATA is marketed well all over the Middle East and people consisting of the mediocre society often prefer buying BATA SHOES since they are very reasonable and affordable. Hence BATA would use its own brand name itself in promoting and marketing shoes. Since DREW.. is also a major retail agency of BATa in KSA, this could be a matter of serious concern to us as we are a new to the KSA market but whereas BATA pretty much has a great hold as a lot of its shoe brand are sold there.

DREW.. in KSA are the sole Distributors of BATA in KSA and thus the dealership for all the various cars manufactured by BATA is handled by them. Since the channel of distribution for BATA is well established in KSA through their years of experience, contacts and years of operation in the country this would be easier for them to promote the distribution of shoe brand along with the rest of their shoe which already have a high growing demand in KSA.

OUR MARKET SIZEWe estimate to about a 20,000 shoe in the first year of the launch. There is a large portion of population in our targeted region . So we're looking at targeting at about 20,000 of those in the first year of our operations and wish to increase the sales of the shoes progressively towards the years ahead. By conducting a close market research on the sales and demand for the shoe in KSA, once we have generated the awareness of using an medicated shoes we intend to expand our operations towards other region of country. The market at present in KSA is competitive as we have a number of well known shoe brands launching different type of shoe each day to have better comfort and usability for their customers. Hence we feel by started with a small investment in the number of shoes to be exported to KSA, we can accordingly judge how well received is our product by the people residing there.

GOVERNMENT PARTICIPATION AND AGENCIES THAT CAN HELP USSince our medicated shoe deals with a sensitive issue of having to make our environment more heaithy . we would really appreciate if the government could help us out with our promotion over the country.

The Central Bank of KSA which is responsible for maintaining the stability of the national currency theSudi RialS and ensuring monetary financial stability in a deregulated and open financial system, we wish to have the bank to help us promote our product in KSA and help us by having their customers educate about carbon foorprint issue dealing in our environment by having hoardings in the bank and have feebacks from their customers whether they would consider investing money in their money in heaithy environment.

REGULATIONSWe intend on marketing and promoting our product medicated shoes by not violating or ghost marketing any other leading car brand in the country. We wish to take it up as a challenge with

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the promotion strategies as we predominantly feel that something having a serious environmental concern needs to be dealt with some amount of sensitivity.

We also intend on assigning DREW. our sole proprietorship for entering into the KSA Market as they have the knowledge and understanding to what the exact requirement of the customers are and how well we could promote our shoes in the country.

Premilery markete planOBJECTIVE

To make people understand the importance of medicated shoes.the shoes control the blood pressure in boody and orthopedic diseases.

TARGET MARKETMain focus is towards orthopedic patient, office going professionals, university students and maybe aged people .

MARKET PENETRATIONWe wish to target the people of sports man and orthopedic people by spreading the word of perfect for the health . We would also use advertising as our main platform in educating the customers to switch to a better option. We would consider the advantage of entering the market based on product market growth matrix since we promote the idea of medicted shoes that control different disease of body like Diabties, blood presureand heal pain ..

PROMOTION MIXADVERTISING

Prior to the launch of shoes in KSA, we'll have leaflets distributed along with the daily newspapers so as to have the people informed about our product release date. We wish to venture into all the platforms of media to advertise about our product.

MEDIA MIXRight from radio stations having commercials to educate the locals about the health friendly to having flyers distributed in all the malls in KSA we look forward to utilize all these mediums to promote our product. We intend to sign a contract with United Media Publication to help us with the marketing and promotion strategies for the shoes.

MESSAGELive the healthi life. This is the message which we would like to promote on the Radio station and through our adverts on Television we would make people realize the importance of health which are bestowed on us by Allah (Religion of Islam, 2009).

COSTS OF MEDIA EXPENSESThe approximate budget for the media advertising would be signed with United Media

Publication for a deal of 1000 Rials which would include newspapers adverts, hoardings of the shoe all over the country and flyers meant to distributed among people.

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SALES PROMOTIONSOur main objectives towards the sales promotion will be to provide the people of the country with a shoe which is very economically and affordable. Promotions would be held by our agency DREW to market the medicated shoes all over the Reyadh. We would be having special displays in Malls and Cinemas where people can come and see the usability of the shoes. Special seminars and workshops would be held at the various schools and colleges to make the young generation understand about the benefits of using medicated shoes.

DISTRIBUTIONPORT SELECTION

Since our main manufacturing plant is situated in KARACHI, the closest sea port from there would be Karachi port . So the shoes would be transported by road from karachi to Karachi port thereby they would be shipped out our destination port Mina Qaboos located in Corniche.

MODE SELECTION Air carriers would be surely considered in future once medicated shoes has set up good hold in Middle Eastern market. As of the start, we would be going ahead with Ocean carriers to have cars shipped into ksa from pakistan. This would be a more economical option based on our budget.  Motor carriers would be used by us to transport the shoes containers from Karachi to to Karachi port.

PACKINGMarking and labeling need to be done in English as well as Arabic so no confusion is caused at the ports. Containerization would be more ideally for us and as its' aggregated by the ISO, it shall help us boost our trade flow. Costs for the whole of packing can be budgeted to 300 Rials for every 2000 shoes imported into KSA.

DOCUMENTATION REQUIREDTCS is our shipment carrier to other countries as well so they would be responsible for our exports to KSA too. The Bill of lading would be contracted through TCS for importing our car and selling it in KSA. Dock receipt handling acknowledgment of the shipment and accountability for safe custody of the cargo goods will also be issued by TCS. Commercial invoice based on which tariffs would be calculated will also be issued as a part of the customs declaration.  Shipper's export declaration and other special documents would also be provided to our partners DREW..' at KSA to regulate the flow of sales and have informed with regards to the next order when needed.

CHANNELS OF DISTRIBUTION - RETAILERSWe wish to have our shoe dealership with DREW. We wish to have them as our sole distributors as they are a well known name in the market. Retail markups of about 25% would be added onto the selling price of the shoes. Warehouse would be rented out in interiors part to accommodate the shoes.

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PRICE DETERMINATIONCost of the shipment of goods would cost us about 500 Rials along with the packing expense of 500 rials per 2000 shoes. Transportation costs could be estimated for around 50 rials per container (Each container having 50000 shoes). Pier charges and Wharfage fees for the shipment to be loaded from docks for import and export would be estimated to about 300 rials along with Loading and unloading charges by manpower for approximately 200 rials. . Company's gross margins would be able to be judged once we work efficiently towards having our raw materials being processed to make the car and further processing it into the sales of shoes made.

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